Birds Eye View of the Port of Durban
Birds Eye View of the Port of Durban. Ojas Narappanawar/Pexels.com

State-owned ports and logistics company Transnet took disciplinary action against Transnet National Ports Authority (TNPA) Chief Executive Pepi Silinga alongside several managers following probe into allegations of impropriety within the organization.

Transnet commissioned Bowmans, a law firm based in Johannesburg, to look into allegations of misconduct at TNPA.

"Transnet also appointed Bowmans to assist with implementing the recommendations of a forensic report by Fundudzi Investigators which considered the award of a tender for the multi-purpose terminal at the Port of Ngqura," the company said, SA News reported.

The company revealed on Sunday that the investigations have now been completed and, in a meeting, held last week, Transnet's Board of Directors and the TNPA Board agreed to issue disciplinary charges against TNPA Chief Executive.

The decision was made based on legal advice and the recommendations from the investigations.

"On the same day, Transnet also instituted disciplinary charges against managers implicated in the Fundudzi report and other managers at TNPA implicated in acts of impropriety. External independent chairpersons have been appointed to chair all disciplinary proceedings," the company said.

It added, "Transnet will ensure this matter is dealt with swiftly and with the necessary sensitivity. Any further updates will be communicated in due course."

In March, TNPA suspended Silinga and two general managers over allegations of tender irregularities for a port-fencing upgrade project at Durban, Richards Bay, and Saldanha Bay, which reportedly escalated from an initial estimate of R80 million to R300 million.

TNPA in March announced an investment of around R233 million for the rehabilitation of the Durban Port Road to enhance infrastructure and improve efficiency at the port. The project is expected to be implemented in the next two years, with a traffic management plan to redirect the flow of vehicles.

The planned rehabilitation of Durban Port Road assumes significance as the Port of Durban plays a vital role in the South African economy, managing around 60% of the country's total container volumes.

Last year, over 60,000 containers were stuck at sea waiting to be offloaded at South Africa's biggest port amid gridlock blamed on bad weather and equipment failures that are damaging the poor economy, according to business and political groups.

The bottleneck at the port operated by state-owned Transnet, evolved in a political squabble with the Democratic Alliance party calling for the sacking of the public enterprises minister. Transnet, at that time, said the delays in Durban were the result of bad weather compounding breakdowns, aging equipment and other issues.